Egyptian Prime Minister Mostafa Madbouly has estimated the direct cost of hosting over 9 million people in Egypt, including refugees and residents, due to instability in their countries, at over $10 billion annually.
Madbouly stated on Monday, during the second day of the Global Economic Forum hosted by Riyadh, that “the Egyptian state bears this cost despite the economic crisis it faces.”
According to Egyptian and international government estimates, the number of refugees and foreign nationals residing in Egypt exceeds 9 million people from approximately 133 countries.
This marks the first official statement on the direct cost borne by the Egyptian state for refugees, residents, and newcomers to the country, following a continuous increase in their numbers due to the Sudanese crisis, which has led hundreds of thousands of Sudanese to seek refuge in Egypt, followed by the Gaza war and Egypt’s reception of many Palestinian wounded.
Egypt has repeatedly complained about the mismatch between the international aid it receives and the increasing influx of refugees and migrants to its territories, amidst repeated calls for increased international support, the latest of which was last week during Madbouly’s meeting with the Director-General of the International Organization for Migration, António Vitorino.
Months ago, the Egyptian government began a precise census of migrants, residents, and refugees, giving them the opportunity to register their data with official authorities until June, to obtain a “registration card” that would allow them to continue receiving services as part of the state’s plan to register all foreigners residing within the country.
The $10 billion figure estimated by the Prime Minister does not represent the total cost of residents in Egypt, according to Suhaim Mustafa, a member of the Foreign Relations Committee of the Parliament, who confirms that “the Prime Minister spoke only about the direct cost, but there are indirect costs that have not been calculated or estimated yet.”
She added, “Also, the direct cost will be higher in the future if the influx of newcomers continues and the absence of controls that should be imposed, especially on those engaged in commercial activities.”
The financial burdens on the Egyptian government to provide basic services to foreigners on its territory have increased, given the worsening economic crisis in the country in recent months, with rising inflation rates due to the depreciation of the pound against the dollar, and a decline in revenues from the Suez Canal and tourism, due to the repercussions of the Gaza war.
Egyptian parliamentarians emphasize that “foreigners in Egypt receive the same privileges as Egyptian citizens, whether in providing water or electricity at subsidized prices, or even benefiting from subsidized fuel prices to alleviate the burden on Egyptian citizens, in addition to the privileges of education and health in government entities treated like Egyptians, and thus they pay very minimal fees for services that cost thousands of pounds.”
“Egypt does not receive financial support from the international community commensurate with the numbers it hosts on its territory,” according to Salah Halima, a member of the Egyptian Council for Foreign Affairs, who tells “Al-Sharq Al-Awsat” that “the Sudanese crisis and the entry of hundreds of thousands of Sudanese into the country in the past year aggravated the situation significantly, especially after a large number of Sudanese residents were unable to return to their country.”
The United Nations High Commissioner for Refugees in Cairo registers about 596,000 refugees from 60 countries, most of them from Sudan with 315,000 refugees, followed by Syrians with 155,000 refugees.
A member of the Egyptian Parliament warns of the social and security implications of the continued influx of newcomers without government oversight and follow-up, especially with the existence of an additional cost borne by the country, not only at the governmental level but also at the popular level, with increased pressure on services and facilities in some areas where newcomers are concentrated, leading to price increases.
The Egyptian parliamentarian blames the government for neglecting to deal with the file until it reached a dangerous stage that requires faster mechanisms to deal with it decisively, which she hopes will be achieved soon